The DVLA has issued a warning to motorists, saying they could be owed tax refunds after they sell their car. More than five million used cars exchanged hands in 2022, whether being part-exchanged, sold to other drivers, or traded, and many of those who sold their cars may be owed some money.
When a car is sold, any money the previous owner had paid on road tax can be refunded, but this can only be put forward if the DVLA are informed about the sale or you risk missing out on the money. An example of this is when you've paid your car tax in full for the year, but sell your car after three months.
This means the motorist would be owed nine months' worth as a refund. To avoid missing out, motorists are being advised to contact the DVLA as soon as possible to avoid missing out on any owed money.
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In a tweet, the DVLA said: "When you sell a car, tell DVLA online to make sure you get your tax refund quickly. It's really easy to do". People are then advised to click this link.
The DVLA advises that before selling your car, you should apply to update your log book (V5C) if you've changed your name or address, or made changes to the vehicle, the Liverpool Echo reports. They add: "You may not get a refund for any full months left on your vehicle tax if your details are incorrect."
As well as this, you must tell the DVLA you've sold the vehicle and give them the full name and address of the buyer, which will be done by completing the V5C form and sending it off. If you do not do this, any vehicle tax refund you're owed might be affected.
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